General Insurance PrinciplesQuestion 201 of 716

On a life insurance policy, the person who has the contractual right to name the beneficiary, take a loan, or surrender the policy is the:

a.Policy owner
b.Insured
c.Beneficiary
d.Agent of record

Explanation

The policy owner holds all contractual rights, including naming or changing the beneficiary, taking policy loans, and surrendering for cash value. The insured is the life covered; the beneficiary receives proceeds at the insured's death; the agent of record receives renewal commissions but holds no contractual rights.

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PrepPass team · Verified against California Life & Health Insurance License Exam · How we review
Reviewed by John Zihao Zhang — California-Licensed Life Insurance Agent (CA Dept. of Insurance License #4396095 — verify)
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